Federal Continuing Resolution Extends Key Rural Health Programs
Earlier this week, the U.S. Senate advanced a continuing resolution (C.R.) to fund the federal government through January 30, 2026.
The legislation provides several rural health extenders, preserving critical programs that directly impact patient care, workforce recruitment, and hospital sustainability across South Dakota.
Key Rural Health Extenders Extended Through January 30, 2026
- Medicare-Dependent Hospital (MDH) Program – Ensures continued support for small, rural hospitals where Medicare patients make up a large portion of care. This program is especially vital for many South Dakota’s rural hospitals, helping them maintain essential services in low-volume areas.
- Low-Volume Hospital Payment Adjustments – Provides targeted financial assistance to hospitals with fewer patient discharges, offsetting the higher costs of operating in sparsely populated regions.
- Medicare Telehealth Flexibilities – Extends current telehealth policies, allowing South Dakota providers to continue offering remote care options that improve access for patients across long distances.
- Medicare Ground Ambulance Add-On Payments – Sustains additional reimbursement for rural emergency medical services, helping ambulance providers cover higher transportation costs unique to rural areas.
- National Health Service Corps, Community Health Centers, and Teaching Health Center Graduate Medical Education Programs – Strengthens the health care workforce pipeline by supporting training and placement of physicians and other clinicians in rural and underserved areas.
- Medicare Hospital-at-Home Program – Continues flexibility for hospitals to provide acute-level care in patients’ homes, supporting innovative care delivery models that enhance access and reduce hospital strain.
- Delay of Medicaid Disproportionate Share Hospital (DSH) Payment Cuts – Prevents reductions in Medicaid funding for hospitals that serve large numbers of low-income and uninsured patients, safeguarding access to care in vulnerable communities.
For South Dakota hospitals and rural providers, these program extensions represent a critical bridge—helping maintain financial stability, sustain workforce efforts, and ensure patients in rural areas continue to receive high-quality care close to home.
SDAHO will continue to advocate for long-term extensions and permanent solutions to protect these essential programs and the communities they serve.
